Women’s young fashion brand Rare London’s parent company is understood to have been put into administration.
Drapers has learned that FashionFinder (Le Monde), which as well as Rare London owns women’s young fashion brands Opulence England, Coco’s Fortune and Paprika, went into administration last week, although it is not yet clear who is handling the process.
Sources indicated the company was too heavily laden with debt to continue in its current form.
Some of Fashion Finder’s staff have already contacted other brands and retailers to say they are looking for new roles.
One staff member recently complained on Twitter that she had not been paid by the business. The tweet said: “Absolutely love not getting paid from work. #helpmeimpoor.”
The exact reason for Fashion Finder’s demise is unclear, but one source from the young fashion industry suggested the product had underperformed in recent seasons.
“The product has been off the boil for the last 18 months,” he said. “They have lost their footing in the market and the orders have dropped off.”
The source added: “It’s a shame, because they were the market leaders about three years ago.”
Fashion Finder was founded by Rajesh Talwar in May 1999 but, according to Companies House, another company called Rare Fashion Limited was set up at the beginning of this year, with Reena Talwar appointed as director on March 15. Reena Talwar is Fashion Finder’s wholesale manager and is thought to be a shareholder in the original company.
A source told Drapers the alternative company had been set up to hold the business’s intellectual property: “Setting up this secondary company and appointing another director means that the intellectual property is registered as a separate entity so no one else can buy the brand out of administration,” he said.
It is unknown whether Fashion Finder’s chief executive John Quinn is still with the business.
In February, Quinn told Drapers that Fashion Finder had inked a deal with US distributor Livelife Fashions to sell Rare London in three department stores in the country.
Fashion Finder declined to respond to questions about the administration.